On March 14, 2025, President Trump issued an executive order expanding sanctions on Venezuela due to its continued threats to U.S. security. The order imposes a 25% tariff on goods from countries importing Venezuelan oil, effective April 2025. This move targets Venezuela’s destabilizing actions and the activities of criminal organizations like the Tren de Aragua gang. The Secretary of State, in coordination with other agencies, will oversee the tariffs and report on their effectiveness.
Venezuela’s crude oil exports by region and country, 2023
In response, China, the largest buyer of Venezuelan oil, paused its imports following the U.S. tariff threat, reports Charles Kennedy of OilPrice.com. Traders are now awaiting direction from Beijing, with some refraining from buying Venezuelan oil due to the uncertainty surrounding the new sanctions. Kennedy writes:
Some Chinese buyers are now refraining from touching Venezuelan oil amid the latest uncertainty from the U.S. sanctions and trade policy.
“The worst thing in the oil market is uncertainty. We won’t dare touch the oil for now,” a senior executive at a regular Chinese trader of Venezuelan oil told Reuters.
